SBI to sell 10% stake in Life arm via IPO

SBI has said that a board panel has approved an IPO of its subsidiary SBI Life Insurance by offering the public 10% of the company’s share. The Arundhati Bhattacharya-led bank said it was looking at diluting its stake by 8% through the IPO.

Given that SBI Life was va lued at Rs 46,000 crore following a private placement in December 2016, a 10% stake sale could generate Rs 4,600 crore for the bank.

In December, the country’s largest bank sold a 3.9% stake to private equity investors KKR and Temasek Holdings at Rs 460 a share. The deal valued SBI Li fe at 3.5 times its embedded value of Rs 13,000 crore for 2016 17. Embedded value is a measure of a compa ny’s worth which fac tors in future earnings from policies that have already been sold.

This year, SBI Life has grown its business at 45% as against an industry growth of 22%. SBI Life’s proposed IPO will have enough room for foreign institutional investors as its joint venture partner Cardif (owned by French lender BNP Paribas) has decided against hiking the stake up to the permissible 49%.

The SBI had however taken a call that it would decide to hold over 50% in all its subsidiaries in order to ensure management control.


Source: The Economic Times

Date: 25th March, 2017

How In-House Recruiters Can Win a Candidate’s Trust

As an in-house recruiter charged with filling a key role, one of the greatest challenges you face is in winning and then holding a candidate’s trust. That can be particularly challenging if a candidate has had a poor experience of recruiters previously.

Seemingly top-notch candidates can come across as distrustful, defensive or even downright aggressive. Regardless, you need to accept responsibility for building trust, if you’re to attract and hold the best candidates.

1. Candidate concerns

It doesn’t take much to switch on a candidate’s skepticism. Most quality candidates know what a good opportunity with a solid employer looks and sounds like, so anything that jars during recruitment and selection will set their antennae tingling faster than a hummingbird’s wings.

There are five key triggers:

  1. If the role and package that you describe differ significantly from what the candidate perceived from the ad, you’re already pouring oil down the welcome ramp.
  2. To a candidate, if the opportunity is genuine, the job scope, salary, benefits and progression opportunities will be clear. Anything put across as, ‘still to be worked out,’ sounds like a klaxon going off at the candidate’s end of the phone.
  3. Apart from interest in the role itself, most of a candidate’s attention will be dedicated to the salary and benefits package. If this drifts downwards as selection proceeds, in the candidate’s mind you’ve steepened the ramp, set light to the oil on it AND dropped the portcullis.
  4. If the selection process proceeds at a truly glacial pace and becomes seemingly endless, the candidate might not actually die before you get around to concluding things, but figuratively they will. It’s hard to claim that you’re looking for a dynamic person to seize a go-ahead opportunity if the organisation appears to need an iron-lung to keep it gasping along.
  5. If, “I’ll be back to you in a couple of days,” drifts into two weeks the candidate will be torn between wondering whether you’re ignorant, your organisation is incompetent or they’re just simply not wanted. Either way, it’s probably game-over at that point.

Prima-donnas, eh? Candidates should just be grateful, right? Sure, you work for an important company with a solid professional reputation and you’re offering a dream job at a to-die-for rate, but if those aren’t the signals you’re actually sending out during recruitment and selection, quality candidates will rapidly lose interest.

2. Positive actions

As an in-house recruiter, life can be highly schizophrenic. You’re often trapped between keeping candidates sweet and hustling hiring managers ‘too busy’ to follow the selection process. Candidates want certainty whilst hiring managers simultaneously stretch the scope of the role. You can be holding top quality talent in your hand whilst a hiring manager bleats endlessly for a unicorn and complains about the delay in filling the role. Whilst your position can be unenviable, only you can solve those dilemmas. If you don’t step up, no-one will.

The good news is that there are five definite actions you can take which will help:

  1. Formally define, in writing, the specifications for: the scope of the role; the candidate; the salary or benefits package; progression opportunities and starting objectives for the role-holder. Then get them signed off by the hiring manager. If anything later varies, it’s clear what’s changed and whose responsibility it is.
  2. Ensure that you and the hiring manager commit to the same things. Agree the stages of the selection process, selection criteria to be used and anticipated timescales for each stage. Get your hiring manager to sign up to a written agreement which lays out maximum CV turnaround and interview scheduling times.
  3. Whilst part of your job is to sell the opportunity, set realistic expectations in the mind of the candidate at the outset. If the recruiting team is going to struggle for time and resource, be open and honest and explain the reasons. If location, salary or level of experience could be an issue, get it out in the open and help the candidate address that issue. Nothing builds up trust faster.
  4. At every step of the process, keep the candidate fully informed. You’re unlikely to get penalized by them for over-communicating and the more you speak to them, the more you’ll learn about them.
  5. When you make an offer, close it down, hard and fast. A three week delay in producing the paperwork after making a verbal offer is mindless. Not only does the trust begin to leak away like blancmange stored in a string bag, you’re handing a massive bargaining chip to the candidate if they’ve simultaneously got another opportunity on the go.

To truly seize the recruitment process by the scruff of the neck, fight for full and active ownership of the whole process. If you don’t, and you lose candidates whilst things drag on, you might not be to blame for delays to the entire organization’s progress but, as the softest target, you’ll be blamed anyway. Grab it, run with it, get it done and then make sure you take the professional credit.


Source: Undercover Recruiter

“Plants are foolish or wise to lose and profit others? A HR message”

When passion and commitment for success becomes the guiding principle of life, limitations and adversities automatically go null and void is the management message corporate has to learn from some plants.

The probable evolution of flowering plants from non flowering plants  itself is only to facilitate the segregation and mixing of the genetic materials during pollination and seed formation.  Thereby, an improved variety of plants can be produced. This is all about evolution of flowering plants.

Procreation through pollination is advantageous to all flowering plants than by other means like vegetative reproduction.

But unfortunately, many flowering plants do suffer from problems like parthenocarpy and stenospermocarpy. The paenocarpy is nothing but the formation of fruits without fertilization.  On the other hand, the stenospermocarpy is a state where fruits are formed without seeds.

According to botany, many reasons can be cited for the above situation in many flowering plants. The parthenocarpy and stenospermocarpy, both can eliminate plant population in no time from the biome.  But nature has never allowed such event to occur. Nature has given an alternative method of vegetative propagation to some plants that frequently suffer from the above problem.

Most of the flowering plants produce large number of flowers for the purpose of propagation.  In a sense they are ‘super performers’ as far as their propagation instinct is concerned.  But remember, the super performers do suffer the worst in nature.

Instead of worrying or blaming the fate or destiny, the plants do switch to other mode of reproduction.

Another important insight one must grab from the plants affected either by parthenocarpy or stenospermocarpy is that however at the end they do produce fruits. The big question is why? Although such fruits (fruits without fertilized seeds or fruits without seeds) will not meet or fulfill the ultimate purpose of the plants, it does meet the very existence of the pollinators by fulfilling their food needs.  The plants even when fail in their very purpose of procreation due to some reason, they do not want to fail the existence of the pollinators.

If the life and existence of the pollinators are in jeopardy, plants may suffer the worst tragedy in the next breeding season and thereby the saga of the same disaster would continue in different form.  Nature has taught the plants not to allow the problem of parthenocarpy or stenospermocarpy to extend beyond.

The problem has to be limited, diluted, confined and fixed and should not be allowed to spread its kingdom of dismay. A great management message one need to thread from the above events in nature.

One of the reasons for the problem of parthenocarpy and stenospermocarpy is pollination failure.  Pollination failure is mainly due to the lack of effective pollinators. In order to enhance successful pollination events at least during the next breeding season, the plants have to keep the pollinators in good humor. That is why many plants produce fruits without fertilized seeds or without seeds in nature. Such fruiting is quite expensive to plants.

A problem should never be allowed to multiply into another problem and instead problems should breed only solution is the management essence we must learn from the above. On the basis of this cardinal management essence only the entire creation has been made.

Corporate must learn that nature has lot of offer to our ‘organic’ growth if not the ‘commercial’ growth. It is up to the sensitive HR to revolutionize the culture and productivity of the corporate.

Source: The Hans India

Date: 27th  March, 2017


CV vs. Resume: The Difference and When to Use Which


A CV (Curriculum Vitæ, which means course of life in Latin) is an in-depth document that can be laid out over two or more pages and it contains a high level of detail about your achievements, a great deal more than just a career biography. The CV covers your education as well as any other accomplishments like publications, awards, honours etc.
The document tends to be organised chronologically and should make it easy to get an overview of an individual’s full working career. A CV is static and doesn’t change for different positions, the difference would be in the cover letter


A resume, or résumé, is a concise document typically not longer than one page as the intended the reader will not dwell on your document for very long. The goal of a resume is to make an individual stand out from the competition.
The job seeker should adapt the resume to every position they apply for. It is in the applicant’s interest to change the resume from one job application to another and to tailor it to the needs of the specific post. A resume doesn’t have to be ordered chronologically, doesn’t have to cover your whole career like and is a highly customisable document.


As stated, three major differences between CVs and resumes are the length, the purpose and the layout. A resume is a brief summary of your skills and experience over one or two pages, a CV is more detailed and can stretch well beyond two pages. The resume will be tailored to each position whereas the CV will stay put and any changes will be in the cover letter.
A CV has a clear chronological order listing the whole career of the individual whereas a resume’s information can be shuffled around to best suit the applicant. I would say the main difference between a resume and a CV is that a CV is intended to be a full record of your career history and a resume is a brief, targeted list of skills and achievements.

Let’s revise:

CV – long, covers your entire career, static
Resume – short, no particular format rule, highly customisable

Usage around the world:

A resume is the preferred application document in the US and Canada. Americans and Canadians would only use a CV when applying for a job abroad or if searching for an academic or research oriented position.
In the UK, Ireland and New Zealand, a CV is used in all contexts and resumes aren’t used at all. The CV prevails in mainland Europe and there is even a European Union CV format available for download.
In Germany, the CV is more commonly known as a Lebenslauf (true to the latin origins) and is only one of many application document the poor German job seekers must produce to get an interview.
In Australia, India and South Africa, the terms resume and CV are used interchangeably. The term resume is used more for jobs in the private sector and CV is more commonplace when applying for public service positions.
Source: The Under cover Recruiter

4 ways to get a better deal at appraisals

The employee must accept he or she is as responsible as the employer in securing a better appraisal

The appraisal season is back, but will this year’s ritual be any different from the previous year? Is it really a one-sided game as many say? Not if the employee accepts that he or she is as responsible as the employer in securing a better appraisal.

Here are four tips for negotiating a better appraisal –

  1. Link Your Assessment to the Goal Sheet:The best way for self-assessment is to link back to the goal sheet and the score card supported by all the quarterly feedback you have received from your manager. This should not be too subjective and verbose. It must have elements of humility. Just refer to your KRA/key deliverables and have a candid chat with your manager around enablers as well as de-raisers. After all, performance appraisals are meant to enable the employee to achieve his or her best.
  2. Ask Relevant Questions:There are multiple frameworks. One of them is GIG (Good Improve Good). Start with open-ended questions about something good one has done and then ask about opportunities to do better or improve. Finally close with a good note.
  3. Talk about Achievements with Context:Achievement without context is no achievement. Hence context will be important. Also, be objective, factual, authentic and humble about your achievements.
  4. Mention Failures too:If one is humble and candid to identify the reasons of failure, it is more impactful than success. After all, both success and failure are two sides of the same coin and every manager knows that.

Always mention:
1. Right positioning of performance and potential
2. The value you have created in dollar or rupee irrespective of your line or support function
3. ROI of all activities you carried out
4. How much you are part of the larger purpose of the organisation and building the institution rather than working hard in isolation


Source: SHRM

Date: 03-03-2017

3rd party vehicle cover set to cost 50% more

Centre Does Away With Limit On Payouts By Firms

The premium for third party motor vehicle insurance is set to go up significantly as the Centre has agreed to do away with the cap on third party liability of insurance companies in case of grievous injuries or deaths in road crashes. The insurance regulator, Insurance Regulatory and Development Authority (IRDA), has proposed a nearly 50% hike in third party insurance premium for most categories of cars, trucks and two-wheelers for 2017-18.

It is mandatory for all vehicles to have third party insurance while insurance for own damage is optional. In comprehensive policies which have both components, the share of third party insurance is barely 30%. IRDA has proposed no increase in third party insurance premium only for a few vehicle categories such as Alto, Nano and Datsun Go in cars and Tata Ace, Tata 407, pick-up vans and Eicher mini trucks etc in the goods vehicles segment. No hike has also been proposed for ecarts. But it proposes to increase the premium of cars, which have 1,000 to 1,500 cc engines by almost 50%. A similar hike has been proposed for luxury and premium car models.

Sources said trends show the final hike is usually around 25-30% after consultations.There is a probability that insurance firms would push for another round of increase once the Motor Vehicle (Amendments) Bill is passed with the proviso that firms pay the entire compensation awarded by the motor vehicle claims tribunal (MACT). A parliamentary panel had recommended unlimited liability of insurance firms by rejecting the road transport ministry’s proposal to cap it. Sources in the insurance industry said at present, the average compensation is about Rs 5 lakh and that, too, is usually settled after months.

Road transport minister Nitin Gadkari said, “We want victims’ families to get quick relief. Once police files a motor accident case, the insurance company will approach the family with offer of Rs 10 lakh and Rs 5 lakh as compensation for death and injury , respectively. If they don’t accept, the matter will automatically go to MACT and the insurance company will pay the entire compensation.“

But there are objections to this. “The government should focus on how to shorten the process of cases in MACTs,“ said S PSingh of IFTRT, a Delhi-based think tank on transport issues.


Source : The Times Of India

Date: 05-03-2017